Agreed. I remember when primark went through a long period of scandal. It soon quietened down and the share price didn’t suffer. I’m sure if they’d kept growing revenue the the SP would have continued to climb, but for some reason they chose to limit themselves to bricks and mortar!?
As for Shein, I think there will always be some new brand trying to disrupt the market. But being China based, I’m sure they will likely face more barriers and scandal along the way. Boo has great branding and a loyal customer base that I feel will carry them forward.
Let’s be clear, today we are buying shares at June 2017 prices! How much has the company achieved since then? How much has the EPS grown?
I’m back in with 30k shares as I’ve long had an alert set at 250p. This share requires no more than patience in my view. Short term an easy 30%. But if you lock away the key for a few years and block out the noise, I think this is probably a 4x bagger.
Terrible management that have grown turnover and profit exponentially every year. The same management that managed to recruit Leveson to oversee this scandal last year.
Boohoo is a media target because they hate to see a flash Asian billionaire. But they will deal With this negative press and sooner or later fundamentals will Win the day and the company will see its true value realised.
I’ve been out of boo for a while now and set an alert at 250p months ago, forgot all about it to be honest.
Back in with 30k shares. The media loves to beat the crap out of Boo, largely due to the engrained institutional racism. The trading figures will soon turn this back around and the noise will disappear.
Schroders knew what they were getting in for and they knew about the court case. Ok, Allianz have upped the anti, but we know these sort of claims are always well over stated and rarely does the award match the claim, this is just Allianz getting their elbows out hoping Brown will settle out of court.
Shroder aren’t going to knee jerk, by any metric this business is undervalued and they know that, they also believe in the new management team. Strip the court case out and a fair value for this would be circa 120p to my estimates.
I think just a little bit of patience ha needed and this will move back to mid 60’s. I can’t help but feel that if it were not for yesterday’s RNS, today’s trading update would have sent us into the 70’s. Next step will be a return to dividends hopefully, unless the court case deters them from doing so.
His knows why the SP is dropping on this update. I didn’t expect large gains due to yesterday’s RNS, but I at least expected it to stabilise and make a moderate gain. It’s going to be an interesting few hours.
So he’s replying to his own posts?……are you sure about this ? Ha ha
As for the update. Certainly the best one we’ve seen for a while and encouraging to hear that they’re pumping some money back into marketing with some relevant celebrities.
The court case has been there for a while, yesterday just bought it to the surface again. The claim is ott as they always are and won’t amount to anywhere near that sort of payout in reality. Let’s see what today brings.
You simply don’t understand the market sector. 1) cards are a last minute purchase for so many people. You might buy the special cards on moonpig etc. But for all the birthday parties your kids go to, for Xmas cards that you buy in bulk etc. You want value. Card are also much more practical if you want party paraphernalia, wrapping paper and the list goes on. Yes they need to better their online offering to compete in the personalised card market, but the stores will continue to trade well for the same reason that Tesco have invested billions into local stores, “convenience” You just have the wrong concept of what convenience means in this sector.
Dale, I disagree with regards to it being as good as it will get for sales. This was never going to be a boom time for Browns as it has been for the likes of Boo and ASOS. They have a very different demographic client base and approach to business. browns battened down the hatches over the last year which has given them strength, but not growth. Their demographic are also more likely to spend as restrictions lift. 18-30 year olds care about having the latest lounge wear, those of us older really don’t. But we will spend money on clothes to wear out, holiday wear and office wear as we return to work.
I’d imagine browns will start to increase their marketing spend as we move into this transactional period and we will then start to see sales growth. It may not be an exciting on trend brand, but it has a loyal customer base that will return.